Jesus, talk about how the 1% is ruling the US.
Population of the US:
2000-03-01 281 millions
2010-03-01 309 millions (+28 millions)
2015-03-01 320 millions (+11 millions since 2010, + 39 millions since 2000 or the equivalent of California population)
Man, talk about more idiots coming out of the woods. Within 10 years, that's increase of less than 1% a year. Are you playing the number game to dupe us or are you seriously retarded? Did you read? I wrote that last year the increase in population was about 0.7%. Damn, why am I wasting my time with idiots? That's only 2 million a year. That's less than 1%. See, this is what I am saying when I said "don't let other people do the thinking."
No, not everyone is going to be a home owner. If the banks and investors released the millions of properties on their book to a half of the increased population (ok, only a million? Big deal, we even have the capacity to build more than a million units a year), it would ease the congestion. If the Feds increases the rates, there will be more foreclosed properties on the market. Everything is working against the middle class and for the 1%. Damn, now I know how idiots are deceived into thinking this has nothing to do with the 1%. It's a shame. No matter what, these idiots or the 1% are coming back with more number game to screw us.
You honestly believe a couple of million foreclosed properties popping up all of sudden is not going to have any impact? Man.... Talk about stupidity. No, delinquent properties are kept off the market, because Feds are bent on saving the 1%. It will eventually be on the market or demolished once the 1% has duped enough idiots. congratulation, you are one of them.
Rents going up 30%+ since 2008 has nothing to do with your silly 1% conspiracy theories
Bill, this is what happens to people who don't ask why or how. The population in US has only grown about 0.7% last year. If the banks and investors released the foreclosed properties without holding onto it or demolishing it, we would have more properties out there on the market to depress the pricing. .
U.S. producers pumped out an average of 9.2 million barrels of crude daily in the latest week, the most since the federal government started keeping records.
Bill, not only an idiot, you can't do the math right. Why didn't they increase the production or release our domestic reserve oil to the public to stabilize the price of gasoline back then. We did none of those. Don't think it is just a coincidence that the price of gasoline came down as soon as Feds announced the possibility of ending QE. What military are you talking about. This is what happens if you write without due diligence. Stupidity shows.
Mirror time, pal.
I know yours is all fogged up. First, wipe your mirror, when it is clear you may see something else. Maybe not, cause there is no known cure for stupidity.
The government and the Feds have saved the 1% by pumping up the market with cheap money, i.e. QE. The price of housing recovered, because the banks and investors, The 1%, were able to use the cheap money to keep the foreclosed properties off the market. It didn't help the home owners as most of them were the middle class, not the 1%. As the result, the high price of housing exceeded the rate of salary increase. No one except the 1% can afford to buy a property now. But that's OK. When is the last time, the government tried to save the middle class rather than the 1%.
You know what else happened? Now the QE is coming to an end, it has ended high price of gasoline. The high price of gasoline was after all not driven by the demand in China but by the 1% and the Feds. It was to squeeze every penny out of middle class by the 1%. We were all deluded by the 1% to blame demand in China.
The problem is most of us believe in the shit that we are fed by the 1%. It is like a cult. There are just too many idiots who can't even do their own thinking out there.
The sales tumbles every where. OK. So what? You guys are making too many assumptions. It could be that there are not enough sellers or not enough buyers. The article does not say anything about the average price of housing. Unfortunately Silicon Valley does not seem to follow the national trend. The housing price seems to go through the stratosphere and into next galaxy. I wonder what kind of people can afford a house in Silicon Valley.
What? What do you mean it is up 2.4%? How could that be, when the inventory is so scarce? There were nothing to buy in Silicon Valley. It must be only in Central Valley where nobody cares.
I don't see how this could be bad for the economy. Oh, yeah, I forgot. This is bad for the 1%, and the media is controlled by the 1%. The 1% must be getting desperate. When the economy was bad, really bad for the 1%, the Feds had stepped into increasing the price of commodity by QE. Now the QE is ending, we should have known that the high price of oil was coming to an end. The demand by Chinese market is not really waning as their GDP is still growing. When Feds were helping the 1%, the rest of the economy was suffering. The 1% has recovered by hoarding more money from the middle class. Hence the middle class was disappearing fast. Now, QE is ending, we have to pay less at the pump and at the grocery stores.
So who were the idiots that believed in trickle down economy? You guys are idiots. People are greedier than you think they are. They are hoarders. They swindle money from the middle class and hoard the money. We should call our economy "Hoarding Economy." And we should abandon the idea of giving tax breaks to the rich. It is ridiculous. Now, we can use the money we saved at the pump and the grocery stores to buy other goods. That will move the money around.
Wait a minute. American aged 16 and older not participating in the labor market? Not participating? You interpret to mean that there is less job out there or bad economy? My kids and my friend's kids are not looking for a job. After i read you guys' comments, I am confused. I need to go check my eyes. No matter how many times I read, it looks like 16 to me. This is a classic omission of information to mislead the readers into thinking something more sinister is going on. Before making a judgement, do your own diligence.
I first thought about using this story as how giving tax credit to the rich has disseminated the middle class with the hoarding economy. Then I find that so much information is missing from this story. This is media manipulation called omission of information to mislead us to think something else. The rent is indeed expensive in Silicon Valley. But if you look carefully, there are places with more reasonable rents even in Silicon Valley.
zzyzzx, shut up already. A god damn idiot has to repeat everything.
Well, the government made a conscious effort to raise the cost of housing to help the rich and hurt the middle class who would be the main engine for the housing market.
I don't get this. ISIS has been doing much worse stuff to everyone around the globe. And this one incident is going to make a difference?
I just can't picture Japan going to attack any country with the current law that the US has imposed on Japan after the WWII. Even with the last Gulf War, Japan was only able to pay the US $90 billion as a form of aid for the war. I just can't see how Japanese citizens would agree to any war with another nation.
So let's not get our hopes up high in thinking Japanese would join the fight against ISIS.
20-25% correction in the stock market is too high right now and prefer to watch from the sidelines until either the market corrects or it becomes obvious that I screwed up.
Iwog, this is a pretty weak bearish statement from you. I am surprised.
Hmmm? I thought the last real estate crisis was caused by the unrealistic expectation of return from the real estate market. No?
People for some reason have averse reaction regardless of whether it affects them or not, when it comes to tax increase. It is laughable. Opposing this tax increase would only benefit rich and hurt the middle class. Boehner is Republican, and their agenda is to help the rich enable suck more from the middle class.
Year, sure, you use that money to keep building, then on the surface your growth may look like 7.3%. However if these buildings are left empty, it is not a true growth of the economy. These assets need to return some profit. Each day goes by without a profit, the asset shrinks at the rate of interest. To counter it, you pump more money. If you pump trillion dollars, it will take some time to deplete it. But when it does, it will take exponential speed to make the situation worse.
We should know the history. There was a roaring 20's which is followed by the depression and 2 World Wars. China is following the same fate. To make the matter worse, China is building weapons and arms stealing our technologies.
The difference this time is that China has a nuclear weapon. Just watch. China has begun to muscle smaller nations.
What boggles my mind is that even the middle class who has absolutely nothing to do with this tax hike will be on the bandwagon to oppose this plan. Regardless of where the tax revenue comes from, the government will always squander the money. So wouldn't you have it come from the rich who has benefited from the government hand out as in the form of QE?
QE has only enabled the rich to suck up more from the middle class.
Then again, we are living in a hoarding economy, and I know the 1% will fight to the very end. And in the end, nothing will change. The rest of us has to pay for it one way or another.
I have not seen deflation in anything important besides gasoline.
Our economy does not function on one commodity like gasoline alone. But paying less at the pump would let us spend our cash on something else. That should enhance our consumption and help the economy overall.
Deflation? Tova, you really think so? The opposite is going to happen, when everyone prints more cash. Swiss is joining the bandwagon now with a threat to charge you 0.75% if you save or hold Swiss Frank. China, Korea and Japan are dumping their cash. Everyone is fighting so hard to keep their currency lower. If that is the intention, then inflation should happen. The deflationary pressure is purely emotional at this stage.
Don't worry, all the cash is heading straight to US, just like our blood gushing into the lower part of our body when we see a beautiful naked woman.
It is a shame. The solution to save the rich investors in the last recession was to suck up the money from the rest and distribute it among the rich. The QE's intended target was exactly that. That's why the price of commodity including food and oil went up during the last recession.
Now the rich has recovered some what, those kids who have no control over are suffering. It is a shame. There is a light at the end of this tunnel. But it is still a shame.
The home ownership rate does not relate to actual number of sales. One person may own multiple homes. If this is the case, then we can infer that the recent economic recovery has resulted in lopsided distribution of wealth.
When the economy was bad, the Feds printed so much money to the rich. The rich used that money to drive the price of gasoline up. The demand for oil in China has not waned. Their supposed GDP is still growing. So the decrease in price of oil in recent can't be blamed on China's demand. Actually, the rich has sucked up enough profit from the oil, and they are moving on. Since Feds are ending the QE, all the money is coming back to US. Combined with the money coming form Korea, China and Japan, our economy is going to be better for the next few years.
If you feel that the real estate market has not been performing well in the recent months, it is just a calm before the storm. This recovery has hurt the middle class, thanks to the US government and Feds, but you will see a strong recovery coming due to the fact that so much cash coming to US. The middle class should finally see some wage increase and bonus. Take my word for it.
Now the rich does not see the need to suck up so much from the middle class through gasoline, commodity, etc, the middle class should finally be able to wiggle around their finance. Instead of spending $500 a month on the gasoline, you only have to pay $250 a month. You can free up that $250 to buy something else or save. This can drive the demand for goods and services. Our economy will finally see the wheel turning.
Take the last recession as your lesson to your heart. Save. Do not spend on frivolous things. Do not go for the huge house that costs you over 5 times your salary. Be frugal and save whenever possible. Cause people are ultimately an idiot. They will repeat the same mistake over and over and over. You have the choice to become one or not. The hotter the economy gets, you need to keep your cool. Many of you won't.
Sorry, I do not buy your premise that we are on the verge of an economic boom. If wages were increasing I might tend to believe your thoughts.
Well, unfortunately, the verge means we are about to. I have never said we are in the midst. Not everyone is going to catch this economic boom. You have to be in the right place. But most people will enjoy higher wage and better investment returns. If you don't invest or look for a better paying job, then it will completely miss you.
It is not a premise that our country and the market will be flooded with cash. It is a fact. knowing this, you should figure out what to do yourself. Regardless whether you catch this economic boom or not, one thing is for sure. The down turn which follows will not miss everyone. Prepare. We are too greedy and too stupid to keep good thing going forever.
You mean to tell me the alternative was better than Obama?
1. The big investors do not have to dump the properties to cause a price erosion. They can sit with nice income. The rent is increasing and the job market is healthy. If the ROI is still better than 5%, why dump it?
2. What foreign buyers from Russia and Europe? It is Chinese. While they may be slowing down cyclically, Chinese will continue to exit their domestic market to invest here in California. With the QE from other countries like Korea, China and Japan, there will be plenty of cash to go around. On top of that, the money we have printed to rescue the rich, is coming back to US. The investment money to increase the price of oil is coming back to the US. That money has to go into some investment.
3. OK, I am going to repeat like a broken record. The market in US will be flooded with cash. We won't know what to do with it. There will be plenty of cash to go around for everyone. Yeah. it will make you go crazy. The money is like a drug. Once you are addicted to it, you won't shake it off. People will spend and spend till their brains melt. It will take at least 3 to 5 years before realizing that this brain malfunction is causing misery. But until then we are OK.
4. Why would lenders be skittish with all the cash? The investor will demand the lender to make more loans available. I am going to repeat again and again and again, people are going to repeat the History like a broken record. Hence I am forced to act like one here.
5. Fed's increasing the interest rate? OK, they increase it by 0.1%, it won't make a huge difference. Libor is going to continue to stay at historical low. Yes, if you bought the house that is 6X your annual income. Going from 4% to 6% would mean 12% increase on your monthly payment. sure, it is going to hurt. But in reality, it does not happen. If it goes up to 4.5% from 4%, then the increase is 3%. Your salary should go up at least 5% to 10% with this economic boom, you can absorb the increase quite handsomely.
I am going to say it for one last time. The time is going to be good, but it is not going to last forever. People are too greedy and too stupid to keep anything good forever.